Oregon Public Broadcasting

Oregon Treasurer Ben Westlund is defending the use of bonuses for top-level employees. His office has paid out nearly $370,000 so far this year. 

Lawmakers Thursday questioned the bonuses at a time when state government is feeling the economic pinch.  Salem Correspondent Chris Lehman reports.

Investment fund managers for the state of Oregon can get a bonus worth up to 30 percent of their salary.  The amount depends on the performance of the funds they manage, compared to the broader market. 

For some managers it meant an additional $50,000 or more in their paycheck this year.

Deputy State Treasurer Darren Bond told a legislative panel that the bonuses are needed, since managers are often tempted by lucrative job offers from the private sector.

Darren Bond: "The competition for talent in this industry is global in nature, and we have to be able to compete to be able to hire the kind of talent we expect to manage our $64 billion pension and other funds that we have under management."

The bonus system pre-dates Westlund, who took office in January. 

Lawmakers approved funding for the bonuses earlier this year.  Still, members of the Ways and Means Committee say they want to hear additional justification before funding them again next year.